Sprint Posts Huge Loss, Scraps Dividends
February 28, 2008 | 12:08 pm | by t-blender |Rate It:
reuters.com: NEW YORK (Reuters) - Sprint Nextel Corp (S.N: Quote, Profile, Research) posted a quarterly loss of $29.45 billion on Thursday due to a huge goodwill write-off and forecast deepening subscriber losses, pushing its stock down as much as 13 percent to a five-year low.
The No. 3 U.S. mobile service said it would stop paying dividends for the foreseeable future, and Chief Executive Dan Hesse said it would take many quarters to turn the company around and rebuild its brand.
“To be frank, the issues we face are more difficult than what I expected to find,” Hesse, who replaced Gary Forsee as CEO in December, told analysts on a conference call. “It takes hard work and time to regain a reputation.”
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